-- Completion of a 13,400 metre diamond drill program at the El Rayo
primary silver project which included the discovery of the Soledad near
surface high-grade silver deposit. Soledad drilling in hole Ray11-60
returned 7m of 1,010 gpt Ag with 6.9m of 527 gpt Ag further down hole.
Step out drill results at Soledad included 43.7 metres of 300 gpt Ag in
hole Ray11-66 and 62m of 182 gpt Ag in hole Ray11-81.
-- Completion of an updated NI 43-101 resource estimate increasing the El
Rayo silver resource by 200% from an Indicated 21.1 million ounces
silver & Inferred 4.85 million ounces silver (NR72 28/05/2010) to a
Measured & Indicated in-pit 77.4 million ounces silver (NR117
-- Option of the Victoria & Coyote properties to Argentum Silver Corp.
-- Completion of an orientation drill program at Soltoro's 100% owned
Chinipas gold project
-- $9,536,510 in additional funding including the sale of 4,500,000 shares
to Coeur d'Alene Mines.
-- Analyst coverage initiated by Stonecap Securities Inc. and Euro Pacific
2012 Exploration Focus:
El Rayo Silver Deposit: A 20,000 metre diamond drill program is underway focused on defining further open pittable silver resources west of the Soledad deposit, northeast of the Las Bolas deposit, in the historic Catarina-Aguacero Mine areas; and at the newly identified Piedras Amarillas mineralized zone. Two drills are currently operating on the property.
The Soledad west and Las Bolas northeast areas are along strike from, and contiguous to, the existing silver resources. Recent ground magnetics have identified structural extensions where coincident silver soil anomalies have also been recognized and will be drill tested. The first diamond drill is testing the western extension.
The Catarina mines host a historic resource where Soltoro is set to release results from a seven hole diamond drill program designed to prove up the historic resource. The second diamond drill is testing mineralization below the Aguacero mine.
The Piedras Amarillas area is 1.5 kilometres east of the Las Bolas silver deposit. To date three silver soil anomalies ranging from 300 metres to 800 metres in strike length and 50 metres to 150 metres in width have been identified and are scheduled for drilling. These silver anomalies straddle a northeast trending magnetic anomaly similar in orientation to the Las Bolas deposit structure. The Piedras Amarillas area has never been mined or drill tested.
The main focus at El Rayo is on drill testing extensions to the known deposit areas in order to prove up further resources while utilizing inexpensive exploration tools to develop additional drill targets on the property. These include planned Induced Polarization studies, ongoing ground magnetic studies and soil geochemical programs.
Metallurgical testing is ongoing at Hazen Research Inc. A preliminary economic assessment will be undertaken in the second half of 2012. Management is confident that the potential to discover and develop new open pittable silver resources at El Rayo remains high.
Drill location maps including magnetic survey and soil sampling results may be viewed at: http://www.soltoro.com/projects/pdf/2012drilltargets.pdf.
Coyote & Victoria Silver-Gold Projects: Soltoro has optioned the Coyote and Victoria to Argentum Silver Corp. (TSX VENTURE:ASL.V - News). ASL is conducting a drill program at Coyote and mapping and sampling programs at Victoria. Soltoro holds 2,100,000 shares of ASL and stands to receive an additional 3.5M shares on or before the first anniversary date of the option. Soltoro retains a 3% NSR interest in each project whereby up to 2% can be purchased for US $1.5 million per 1% NSR.
Other Projects: The Company is primarily focused on defining further silver resources at El Rayo in Jalisco State, Mexico. Soltoro holds property positions in 7 of the 12 known significant precious metal mining districts in Jalisco State, in southwestern Mexico. Efforts on Soltoro's other projects are being directed at finding partners to advance their exploration.
On December 20, 2011, Soltoro released an in-pit mineral resource estimate for the Las Bolas, Highway Zone and La Soledad mineral deposits at its 100% owned El Rayo silver-gold project in Jalisco, Mexico (NR117-December 20, 2011). At the cut-off grade of 20 g/t Ag the Measured and Indicated Mineral Resources are 42,200,000 tonnes at an average grade of 57.11 g/t Ag containing approximately 77.4 million ounces of silver, and 580,000 tonnes of Inferred Mineral Resources at an average grade of 65.51 g/t silver, containing approximately 1,180,000 ounces of silver. The mineral resource estimate was prepared by Hrayr Agnerian, M.Sc. (Applied), P.Geo., Associate Principal Consulting Geologist with Roscoe Postle Associates Inc. and is compliant with National Instrument (NI) 43-101. Mr Agnerian is the Qualified Person for the purposes of National Instrument 43- 101.
Assaying from this program was completed by ALS Chemex through their office in Guadalajara, Mexico. Gold was analyzed using a 30g fire assay with AA finish while the silver is analyzed using a four acid "near total" digestion package. Mr. Steven T. Priesmeyer, C.P.G., Vice President of Exploration for Soltoro Ltd. and a qualified person as defined by NI 43-101 has reviewed and approved the contents of this press release. Field supervision of the El Rayo project is provided by Mr. Patrick Toth, P. Geo., Vice President of Operations, Soltoro Mexico.
Soltoro is engaged in exploration for bulk tonnage gold and silver deposits in Mexico. The Company has two diamond drills operating at the El Rayo silver project with the objective of expanding the existing NI 43-101 silver resource. Soltoro has optioned several of its properties in Jalisco State. The Company is seeking partners to advance its Chinipas, La Tortuga, El Santuario and Pena Grande projects. Soltoro has 58,948,037 shares outstanding and trades on the TSX Venture Exchange under the symbol SOL. Coeur d'Alene Mines Corp. holds 4.5 million shares of Soltoro Ltd.
This communication to shareholders and the public contains certain forward-looking statements. Actual results may differ materially from those indicated by such statements. All statements, other than statements of historical fact, included herein, including, without limitations statements regarding future production, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.